{"id":303275,"date":"2026-01-25T18:28:09","date_gmt":"2026-01-25T18:28:09","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/303275\/"},"modified":"2026-01-25T18:28:09","modified_gmt":"2026-01-25T18:28:09","slug":"these-2-stocks-will-be-the-biggest-winners-from-500-billion-ai-spending-in-2026","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/303275\/","title":{"rendered":"These 2 Stocks Will Be the Biggest Winners From $500 Billion AI Spending in 2026"},"content":{"rendered":"\n<ul class=\"yf-h8k6hx\">\n<li class=\"yf-h8k6hx\">\n<p class=\"yf-vbsvxt\">Investments into AI and data centers continue to rise.<\/p>\n<\/li>\n<li class=\"yf-h8k6hx\">\n<p class=\"yf-vbsvxt\">Nvidia remains the dominant AI chip company, with its new Rubin architecture right around the corner.<\/p>\n<\/li>\n<li class=\"yf-h8k6hx\">\n<p class=\"yf-vbsvxt\">TSMC has been busy building AI chips and is gearing up for further growth ahead.<\/p>\n<\/li>\n<li class=\"yf-h8k6hx\">\n<p class=\"yf-vbsvxt\"><a class=\"link \" href=\"https:\/\/api.fool.com\/infotron\/infotrack\/click?apikey=35527423-a535-4519-a07f-20014582e03e&amp;impression=0ede7162-292d-41c0-8430-2ab7f73dc523&amp;url=https%3A%2F%2Fwww.fool.com%2Fmms%2Fmark%2Fe-sa-nonbbn-kp%3Faid%3D8867%26source%3Disaedikp0000053%26ftm_cam%3Dsa-bbn-evergreen%26ftm_veh%3Dkeypoints_pitch_feed_yahoo%26ftm_pit%3D17670\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:10 stocks we like better than Nvidia \u203a;elm:context_link;itc:0;sec:content-canvas\">10 stocks we like better than Nvidia \u203a<\/a><\/p>\n<\/li>\n<\/ul>\n<p class=\"yf-vbsvxt\">It&#8217;s been a little over three years since artificial intelligence (AI) became the hottest topic on Wall Street. Nothing lasts forever, but it&#8217;s hard to envision the AI boom ending this year. At least, not while billions of dollars continue to flow into data centers, chips, and other AI infrastructure.<\/p>\n<p class=\"yf-vbsvxt\">So, how is the AI space shaping up for 2026? Consensus estimates from <strong>Goldman Sachs<\/strong> indicate that AI companies could spend more than $500 billion on <a href=\"https:\/\/www.fool.com\/terms\/c\/capital-expenditure\/?utm_source=yahoo-host-full&amp;utm_medium=feed&amp;utm_campaign=article&amp;referring_guid=9ea9fc1e-bec3-410a-b065-0df0186faea4\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:capital expenditures;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">capital expenditures<\/a> this year. That would be an increase of more than $100 billion from 2025.<\/p>\n<p class=\"yf-vbsvxt\">In other words, the AI train is chugging along faster than ever. Which stocks will benefit the most from all this AI spending? Recent developments point to some familiar faces.<\/p>\n<p class=\"yf-vbsvxt\">Here is why I predict that <strong>Nvidia<\/strong> (NASDAQ: NVDA) and <strong>Taiwan Semiconductor Manufacturing<\/strong> (NYSE: TSM) will be this year&#8217;s big AI winners.<\/p>\n<p>    <img fetchpriority=\"high\" decoding=\"async\" src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/ywAAAAAAQABAAACAUwAOw==\" alt=\"Nvidia data center GPU servers.\" loading=\"eager\" height=\"576\" width=\"960\" class=\"yf-lglytj loader\"\/> Image source: Nvidia.         <\/p>\n<p class=\"yf-vbsvxt\">Nvidia has grown by leaps and bounds over the past several years. Its GPU chips are the hardware of choice for AI hyperscalers, utilizing Nvidia&#8217;s CUDA programming to build massive data centers where thousands of GPU chips work together as clusters to train and operate AI models.<\/p>\n<p class=\"yf-vbsvxt\">The company&#8217;s Hopper GPU architecture helped it capture the AI data center market early on. Since then, Nvidia&#8217;s customers have mostly stuck with its GPUs, which have a reported market <a href=\"https:\/\/www.fool.com\/investing\/2025\/11\/05\/nvidia-secure-artificial-intelligence-ai-stock\/?utm_source=yahoo-host-full&amp;utm_medium=feed&amp;utm_campaign=article&amp;referring_guid=9ea9fc1e-bec3-410a-b065-0df0186faea4\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:share of 85% to 90%;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">share of 85% to 90%<\/a>. It&#8217;s why Nvidia&#8217;s revenue surged by 1,000% over the past five years, and the stock has performed similarly.<\/p>\n<p class=\"yf-vbsvxt\">So, why is Nvidia still a big winner this year? AI companies have already laid extensive groundwork, building primarily on Nvidia&#8217;s hardware. It&#8217;s hard to see that changing dramatically while the investment boom still has this much momentum. Nvidia&#8217;s next-generation architecture, Rubin, recently entered full production, and the company has a $500 billion backlog extending through 2026.<\/p>\n<p class=\"yf-vbsvxt\">That should set the stage for continued growth at Nvidia. The stock&#8217;s current price-to-earnings ratio of 45 still offers excellent value, especially given analyst estimates for 36% annualized earnings growth over the long term. Unless the AI boom falls off overnight, Nvidia is likely to continue its winning ways this year.<\/p>\n<p class=\"yf-vbsvxt\">Investors can follow the AI chip breadcrumbs to this next winner. Nvidia and most other chip companies don&#8217;t actually manufacture anything. Instead, they outsource production to foundries. Taiwan Semiconductor Manufacturing, also known as TSMC, is the world&#8217;s leading foundry, with an estimated market share of 72%. Its next-closest competitor controls just 7% of the market.<\/p>\n<p>    Story Continues  <\/p>\n<p class=\"yf-vbsvxt\">TSMC&#8217;s dominance stems from some serious competitive advantages. It has advanced manufacturing techniques and higher factory capacity, making it difficult for other foundries to compete with TSMC, especially in high-end chips used in AI data centers. TSMC&#8217;s market share has gradually increased over the past few years as the AI chip market has exploded.<\/p>\n<p class=\"yf-vbsvxt\">The company recently posted a stellar earnings report and is increasing capital expenditures to $52 billion-$56 billion in 2026, up from $41 billion in 2025. It&#8217;s a strong signal that TSMC sees more growth on the horizon, as global AI chip demand primarily funnels through its factories. Analysts now see the company growing earnings by nearly 30% annually over the next three to five years.<\/p>\n<p class=\"yf-vbsvxt\">TSMC was a red-hot stock last year, surging more than 53%. However, it seems that investors still aren&#8217;t appreciating TSMC&#8217;s growth enough. The stock currently trades at a price-to-earnings ratio of 30, which, frankly, is a compelling valuation for a dominant business with such bright growth prospects. If investors continue to appreciate TSMC&#8217;s strong performance, the stock seems likely to continue running strongly throughout 2026.<\/p>\n<p class=\"yf-vbsvxt\">Before you buy stock in Nvidia, consider this:<\/p>\n<p class=\"yf-vbsvxt\">The Motley Fool Stock Advisor analyst team just identified what they believe are the\u00a0<strong><a href=\"https:\/\/api.fool.com\/infotron\/infotrack\/click?apikey=35527423-a535-4519-a07f-20014582e03e&amp;impression=21131d57-1663-4506-a781-0f4b2e97134a&amp;url=https%3A%2F%2Fwww.fool.com%2Fmms%2Fmark%2Fe-sa-bbn-dyn-headline%3Faid%3D8867%26source%3Disaeditxt0001181%26company%3DNvidia%26ftm_cam%3Dsa-bbn-evergreen%26ftm_veh%3Darticle_pitch_feed_yahoo%26ftm_pit%3D18781&amp;utm_source=yahoo-host-full&amp;utm_medium=feed&amp;utm_campaign=article&amp;referring_guid=9ea9fc1e-bec3-410a-b065-0df0186faea4\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:10 best stocks;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">10 best stocks<\/a><\/strong> for investors to buy now\u2026 and Nvidia wasn\u2019t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.<\/p>\n<p class=\"yf-vbsvxt\">Consider when <strong>Netflix<\/strong> made this list on December 17, 2004&#8230; if you invested $1,000 at the time of our recommendation,\u00a0<strong>you\u2019d have $464,439<\/strong>!* Or when <strong>Nvidia<\/strong> made this list on April 15, 2005&#8230; if you invested $1,000 at the time of our recommendation, <strong>you\u2019d have $1,150,455<\/strong>!*<\/p>\n<p class=\"yf-vbsvxt\">Now, it\u2019s worth noting\u00a0Stock Advisor\u2019s total average return is 949% \u2014 a market-crushing outperformance compared to 195% for the S&amp;P 500.\u00a0<strong>Don&#8217;t miss the latest top 10 list, available with\u00a0Stock Advisor, and join an investing community built by individual investors for individual investors.<\/strong><\/p>\n<p class=\"yf-vbsvxt\"><a class=\"link \" href=\"https:\/\/api.fool.com\/infotron\/infotrack\/click?apikey=35527423-a535-4519-a07f-20014582e03e&amp;impression=21131d57-1663-4506-a781-0f4b2e97134a&amp;url=https%3A%2F%2Fwww.fool.com%2Fmms%2Fmark%2Fe-sa-bbn-dyn-headline%3Faid%3D8867%26source%3Disaeditxt0001181%26company%3DNvidia%26ftm_cam%3Dsa-bbn-evergreen%26ftm_pit%3D18781%26ftm_veh%3Darticle_pitch_feed_yahoo%26company%3DNvidia&amp;utm_source=yahoo-host-full&amp;utm_medium=feed&amp;utm_campaign=article&amp;referring_guid=9ea9fc1e-bec3-410a-b065-0df0186faea4\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:See the 10 stocks \u00bb;elm:context_link;itc:0;sec:content-canvas\"><strong>See the 10 stocks \u00bb<\/strong><\/a><\/p>\n<p class=\"yf-vbsvxt\">*Stock Advisor returns as of January 25, 2026. <\/p>\n<p class=\"yf-vbsvxt\"><a href=\"https:\/\/www.fool.com\/author\/6581\/\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:Justin Pope;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">Justin Pope<\/a> has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Goldman Sachs Group, Nvidia, and Taiwan Semiconductor Manufacturing. The Motley Fool has a <a href=\"https:\/\/www.fool.com\/legal\/fool-disclosure-policy\/\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:disclosure policy;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">disclosure policy<\/a>.<\/p>\n<p class=\"yf-vbsvxt\"><a href=\"https:\/\/www.fool.com\/investing\/2026\/01\/25\/predict-stock-winner-billion-ai-spending-nvda\/\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:Prediction: These 2 Stocks Will Be the Biggest Winners From $500 Billion AI Spending in 2026;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">Prediction: These 2 Stocks Will Be the Biggest Winners From $500 Billion AI Spending in 2026<\/a> was originally published by The Motley Fool<\/p>\n","protected":false},"excerpt":{"rendered":"Investments into AI and data centers continue to rise. Nvidia remains the dominant AI chip company, with its&hellip;\n","protected":false},"author":2,"featured_media":303276,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[261],"tags":[291,289,290,986,18,19,17,292,5628,82,18707],"class_list":{"0":"post-303275","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-artificial-intelligence","8":"tag-ai","9":"tag-artificial-intelligence","10":"tag-artificialintelligence","11":"tag-data-centers","12":"tag-eire","13":"tag-ie","14":"tag-ireland","15":"tag-nvidia","16":"tag-taiwan-semiconductor-manufacturing","17":"tag-technology","18":"tag-tsmc"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@ie\/115957157237795890","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/303275","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=303275"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/303275\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/303276"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=303275"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=303275"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=303275"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}